SLIDE 1

Extended reserveTechnical working group11 September 2014

IntroductionsBACKGROUND

The purpose of the working group:• Review the technical requirements schedule and

the selection methodology• Consider how the proposals could be

implemented • Test key implementation and operational

elements and assumptions • Report on the findings of the investigation and

outcomes of the trial.

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IntroductionsBACKGROUND

Progress to date:• Reviewed the data requirements• Participants provided data• Creation of a trial procurement schedule. Which

includes:• Example demand unit allocation• Example payment and cost allocation

SLIDE 3

IntroductionsSESSION PURPOSE

• Review procurement schedule• Key issues and concerns• Information provision

• Assess operational impact• Terms and conditions

• Assess implementation impact• Time and cost estimates

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IntroductionsINPUT: PROVIDING CAPABILITY

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Currently providing

AUFLS80% (516)

Capable but not providing16% (100)

Not capable4% (26)

Overview• Total of 642 demand

units provided• Majority currently

providing AUFLS

IntroductionsINPUT: RELAY CAPABILITY

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RG1 RG2 RG3 All regions0

100

200

300

400

500

600

700

UF only df/dt None

210 40462.9%

21233.0%

264.0%

286

146

642

IntroductionsOUTPUT: PROVIDING CAPABILITY

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Overview• Total of 308 demand

units allocated• Block 4 includes 20

units which required new relays

Input Allocated0

100

200

300

400

500

600

700

UF only df/dt None

40462.9%

21233.0%

8012.5%

22234.6%

264.0%

60.9%

642

308

IntroductionsOUTPUT: Region 1 Allocation Summary

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65%

32%

3%

Block 1

77.8%

14.8%

7.4%

Block 2

84.6%

11.5%

3.8%

Block 3

40.0%

60.0%

Block 4

Currently providing Not currently providing but has existing functionality No existing functionality

60 27 26 10

(39)

(19)

(2)(2)

(4)

(21) (22)

(3)

(1)

(6)

(4)

Total demand units allocated: 123

IntroductionsOUTPUT: Region 2 Allocation Summary

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Currently providing Not currently providing but has existing functionality No existing functionality

85.7%

14.3%

Block 1

97.1%

2.9%

Block 2

95.2%

4.8%

Block 3

26.7%

73.3%

Block 4

35 35 21 15

(11)

(4)

(20)

(1)

(34)

(1)

(30)

(5)

Total demand units allocated: 106

IntroductionsOUTPUT: Region 3 Allocation Summary

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Currently providing Not currently providing but has existing functionality No existing functionality

85.7%

14.3%

Block 1

88.9%

11.1%

Block 2

100.0%

Block 3

41.7%

25.0%

33.3%

Block 4

28 27 12 12

(3)

(5)(4)

(12)(24)(24)

(3)(4)

Total demand units allocated: 79

IntroductionsOUTPUT: MEDIAN DEMAND UNIT

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Overview• The model

tends to allocate larger sized demand units

RG1 RG2 RG30.000

0.200

0.400

0.600

0.800

1.000

1.200

1.400

Offered Allocated Not allocated

MW

0 2 4 6 8 10 12 14 16 180

20000

40000

60000

80000

100000

120000

RG1 (Block 1-3)

Price (Not Allocated-Not capable) Price (Not Allocated-Capable)Price (Allocated-Not capable) Price (Allocated-Capable)

MW

VoLL

($/M

Wh)

OUTPUT: ALLOCATION ANALYSIS

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Low VoLL – high MW

High VoLL – high MW

Low VoLL – low MW

High VoLL – low MW

Example some good candidates that were NOT selected

0 2 4 6 8 10 12 14 16 180

20000

40000

60000

80000

100000

120000

RG1 (Block 4)

Price (Not Allocated-Not capable) Price (Not Allocated-Capable)Price (Allocated-Not capable) Price (Allocated-Capable)

MW

VoLL

($/M

Wh)

OUTPUT: ALLOCATION ANALYSIS

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Good candidates that were not selected

Low VoLL – high MW

High VoLL – high MW

Low VoLL – low MW

High VoLL – low MW

Sensitive load selected

IntroductionsBREAKOUT: SCHEDULE REVIEW

• In your company groups

• Discuss your top 3 issues/concerns from the trial procurement schedule– Write each on post-it note (one per note)

• Report back to group– Place each post-it on graph (size of impact/size of concern)– Discuss how the changes would impact on your

organisation

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IntroductionsCUSTOMER CLASS STRAW MAN

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Customer ClassVoLL

($/MWh)Residential $16k

Commercial $66k

Light Industrial $37k

Heavy Industrial $12k

Highly Sensitive $100k*

User Submitted -

Public health and safety (including important public services)

Demand unit excluded

• Sensitive load broken into 2 categories• Public health and safety

• PROPS Priority (1-3)• Hospitals, water and sewage

pumping, fuel delivery systems etc.

• Will not be allocated to an AUFLS block

• Highly Sensitive Load• Captures those that don’t fall into

other categories (food production)• Standard VoLL value applied• Possible to allocate to an AUFLS

block• User submitted VoLL

• Customers over 25GWh per year• Customer class percentages must sum to

100%

*Value needs further consideration

IntroductionsBREAKOUT: INFORMATION PROVISION

• In small groups

• Identify any strengths/weaknesses of the straw man proposal– Write each on post-it note (one per note)

• Report back to group– Discuss how each would impact on your organisation– POLL: Are you likely to submit user submitted VoLL for your

demand units?

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IntroductionsDISCUSSION: INFORMATION PROVISION

• As a large group

• Were there any specific challenges to meeting the 60% compliance requirement?– White board session

• Poll: Will the proposed straw man alleviate the challenges?– Follow up: If no, what issue remains?

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IntroductionsLUNCH

• Lunch will be in the café – Billi room

• 30 minutes

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IntroductionsBREAKOUT: ONGOING INFO REQUIREMENTS

• In small groups

• Discuss the impact of the ongoing information requirements (See 5.c-d of Sched. 2)– Are the notice and response requirements achievable?– Based on the TPS how often do you expect to be notifying

the System Operator?

• Report back to group– POLL: Are the requirements achievable?

• Follow up: If not, what is the causing factor?

– Indicate which yearly occurrence you expect to be notifying?

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IntroductionsDISCUSSION: PROFILE INFORMATION

• As a large group

• Discuss the profile information requirements– Is the provision of embedded station data practical?– How many embedded generators would meet this requirement in your

network? – Do any of your demand units have embedded generation connected? How

many (estimate)?– How much time is required to prepare information?

• If the information was provided twice a year would it be onerous?

• Identify size of the impact (# effected/time/resources)

• POLL: Are the profile information requirements practical?– Follow up: If not, what is the concern?

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IntroductionsEXERCISE: COST ESTIMATES

• In your company groups

• Complete the cost estimate worksheet– What work, time, and cost are required to

• test the different relay types (uf and df/dt)?• reconfigure relay settings• install new relay (df/dt capable)?

• Report back to group– Hand in worksheets– Share any comments

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IntroductionsBREAKOUT: IMPLEMENTATION

• In small groups

• Discuss the relay testing straw man– What is your biggest concern with implementation?

• Write on post-it

– Would you be able to prepare an implementation plan from the TPS? (what/when for existing/new)

– Would you be able to complete testing?– What additional information would you require?

• Write each on post-it

• Report back to group– POLL: Able to prepare an implementation plan?– POLL: Are the straw man testing requirements achievable?– Share your concerns and requirements

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IntroductionsNext steps

• Outcomes from this meeting

• ERTWG Findings Report

• Final teleconference to discuss report

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